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TRANSCRIPT
Customer AnalyticsThe three-minute guide
Customer Analytics The three-minute guide 1
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Customer and brand loyalty are in decline
Companies in virtually every industry are feeling the heat from more discerning—and often less loyal—consumers. Chalk it up to globalization, social media, economic uncertainty, or product commoditization, to name a few of the most challenging trends. Consumers are more informed, more demanding, more fickle, and more tuned in to one another’s opinions.
Bottom line: Companies should have a more complete, intimate understanding of their customers to get them, grow them, and keep them.
Why it matters now
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You have the data. But you haven’t unlocked it.
Think about all the information and signals companies are receiving from their customers. Prospect demographics. Channel and product preferences. Social media sentiments. Interactions and transaction behaviors. And more.
Customer analytics is among the most powerful enablers companies have for translating those signals into useful insights about their customers.
Just as important, analytics helps to deliver customer insights directly to the people who need them most, in a format that makes it easy to understand and act on them.
Why customer analytics
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Increase sales to new and existing customers
Lower customer acquisition and retention costs
Reduce customer churn and increase loyalty
Improve the channel mix to lower cost to serve
Increase sales force effectiveness by targeting qualified prospects
Deliver higher returns on marketing and promotions investments
The potential benefits
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Walk in your customers’ shoes
Every interaction with customers leaves a trail of data—information that becomes more valuable when it’s combined to generate a richer picture of everything from their product choices and channel preferences to when, how, and why they want to interact with your organization.
Build on that picture by walking in their shoes. Interact with your own organization’s channels. Talk to customer-facing employees to hear their “voice of the customer” insights. These experiences can help identify the most pressing areas for improvement.
What to do now
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Ask smart questions
What information will help you better serve customers, gain competitive advantage, or fulfill the business strategy? Smart analytics is about knowing the right questions to ask. And answering those questions will likely require an innovative approach to data analysis—one that can deliver actionable insights to keep you a step ahead of the competition.
Know your data
Do you have access to internal or external data that provide the insights that can help answer your questions? Don’t underestimate the strength of your current data. It doesn’t have to be complete to be valuable.
Along the way, you should not settle for aggregate views, or someone else’s summary of what they think you need. You should have the technology muscle to zoom directly to the most granular level of data to develop a more intelligent understanding of your customers.
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Make it count
Before you start, you should plan for how you can turn the insights into actions, and how to measure results. Make sure you have the necessary organization, systems, and processes in place that support business implementation and add value.
At the same time, don’t use all this as an excuse for inaction. Know the constraints you’ll be working within, and stay focused on determining what you can do with customers now to deliver a return on your investments.
Target a quick win
Pick a tight, focused project that can generate valuable insights and recommendations that will likely be easier to execute. Use this experience to learn how to tackle more complex, broader-scale projects across the enterprise and to gain internal cultural buy-in for future changes.
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You might be surprised at how quickly you can get a customer analytics pilot program off the ground. With the right organizational ecosystem in place, a pilot could be up and running in a few months and have the potential to be self-funded from the direct and measurable value it delivers.
If you want to learn more about how we can help get your customer analytics effort off to a running start, just contact us to start a conversation:
Richard HammellGlobal Customer & Growth Co-Domain LeaderDeloitte & Touche Tohmatsu Limited [email protected]
Jenny WilsonGlobal Customer & Growth Co-Domain LeaderDeloitte & Touche Tohmatsu Limited [email protected]
Time’s up
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